Grants have are to be awarded to Philadelphia International and Northeast airports

Philadelphia International Airport (PHL) and Northeast Philadelphia Airport (PNE) will receive approximately $115.18 million to support their rescue planning operations.

PHL will receive the majority of the $115 million, of which $13.7 million will be allocated to its concessions programme, and PNE will receive just $148,000.

The American Rescue Plan funding is likely to be used by the airports to support airport operations, including covering payroll, paying vendors, and paying debt service.

Typically, the airport covers its operating costs and generates revenue through tenant leases, parking, concessions, and other fees. But due to the COVID-19 pandemic a sharp decline in these revenue streams has resulted in an urgent need for federal support.

CEO Chellie Cameron, who serves as chair of the US policy council for Airports Council International-North America, said: “We are so grateful to Congress for supporting the inclusion of additional COVID-19 relief funding for airports in this package.

“The next stage of PHL’s recovery relies on the safe and speedy distribution of vaccines across the region, and the world. When passengers feel confident about booking air travel, we will be ready to serve them with a safe and clean airport experience.”

In calendar year 2020, PHL served almost 12 million passengers, a decrease of 64% from the 33 million passengers it received in 2019.

Airport businesses such as airlines, contractors and concessionaires saw similar drops in revenue, resulting in a 21% decrease in airport personnel at PHL based on security badging data.

Although Philadelphia International Airport is forecast to have increasing passenger numbers this year, variables such as vaccination rates and travel restrictions remain unpredictable.

Current travel industry projections predict that a return to 2019 travel volume will take a minimum of 36 months.